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If unu'er laragraph tg hereof tttc i}roparty is sold or The Property is otherwise acquireri by bender, bender
<br />s}tall apply, no Later thou immediately prioe to the sale of tlse Property or its acquisitior. by Lender, a,zy Funds
<br />held by Lender at the time. o! application as a credit against the sums sec•urcd t>v this ~lortga~,c.
<br />3. Applicatiaa of Pa}^ments. Unless app[icablc lanv provides otherwise, all payments received hp Lender
<br />tinder the Note and paragraphs i and 2 hereof shall 1TC ap}died l,y t.endcr first. iu payment of amounts payable to
<br />Lender by Borrower Tinder paragraph 2 hereof, then to interest. paysllle on the Not,a an,i on Fuh,m Advances, if
<br />any, and then to the principal of the itiote an<1 to the principal of I•'uturc tldti•anees, if any.
<br />4. Charges; Liens. Bo;rower shall pay ail taxes; assessments and other charges, fines and impositions attrib-
<br />utable to the Property which r.3ay attain a priority aver this Mortgage, and :ground runts, if any, at Lender's
<br />option in the manner provided under paragraph 2 hereof or by Borrower making payment, when due, directly to
<br />the payee tharaof_ Harrower-shall prompt-ly fnrnislt tv gender all notices of amounts due under this paragraph,
<br />and in the event Harrower shall make; paymertC directly, Harrower shall promptly furnish to Lender receipts evi-
<br />~ deneing such payments: Harrower shall-promptly discharge -any lien which has priority aver this :Mortgage; pro-
<br />bided; theft Harrower-shall not tte required ttt discharge any suelt Lien: so lasg as Borrower shstl agree-in writing !o
<br />~ the payment of the obligation assured by such Lien in a-manner aacept,nl le to Lender; ar shall in -goad -faith eontast
<br />svoh -lien by, or defend enforcement of such lien in, legal -proceedings wlriah operate to prevent the enforcement of
<br />,' flee Tian ar forfeiture of the Property or any 1}art, thereo#.
<br />~ ~. Iia;+ard tasiirtnxce. Borrawar shall keep the immprovements now existing or hereafter erected an-the Prop-
<br />erty insured against-loss by fire, hazards included within the term "extended coverage", and such other hazards as
<br />Lender may require-and in such amounts and. for such periods as Lender mat- require; provided, that Lender shad
<br />sot. require that the anxtunt of suoh coverage exceed 'shat amounk. of coverage required to pay the-sums secured'by
<br />this Mot•tg$ge.
<br />?'lie insurance carrier providing the insurance shalt be chosen by Borrower subject to approval by Lender;
<br />provided; that such approval shall not be unreasonably withheld. A11 premiums an insurance policies shelf be paid
<br />at Lender's option in the manner provided under paragra},h 2 hereof or 1>p Harrower making payment, when due,
<br />directly to the insurance carrier.
<br />Tn the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect
<br />its inteaest, may procure insurance an the improvements, pay the premiums and such sum shall become
<br />immediately due and payable with interest at the rate set forth in said note until paid and shall be
<br />secured by this IlRort-gage. Failure by Borrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage.
<br />?lll insurance policies and renew=als thereof shaft be in faun seceptahle to Lender and shall ineltide a sfandsrd
<br />zmartgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold-the polities and
<br />renewals thereof, and Harrower shall promptly Furnish to Lender all renewal notice, and all receipts of paid pre-
<br />m,tms. In the e.ant of loss, Barrawer shall give prompt natiee to the iztsuranea carrier -and. Lender, sintt Feder
<br />may make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to-restoration or
<br />repair of the Property damaged, provided such restoration or repair is econamicail}- feasible and the secur~y of
<br />this tiorbgage is not thereby- impaired. If sash restoration ar repair is not economically faasilila or if the security
<br />of this lortgage would be impaired, itta insurance proceeds shall be applied to the sums secured by this Mortgage,
<br />witdt theexcess; ii any, paid to Borrowwer. If the Pz°otterty is abandoned itv Isorron-ar ar i f Borrower faits ~-respoittl`
<br />tiff Lender within 30 •isys after notice by Lender to Borrower that the insurauce carrier offers to settle a -claim fur-`
<br />insurance benefits, i.ender is authorized to calleat and apply the insurance proceeds at Lenders option either-ter
<br />rest~sration ar repair of the Property or to the sums secured by this ~;lortgaga.
<br />IInlass Lander and Borrower otherwise agree in writing, any such application of proceeds to principal shall
<br />not extend or postpone the dne date of the monthly insiatfmants referred to in paragraphs i and 2 hereof Qr ahsnge
<br />the amount. of such instaltmento,
<br />If-under paragraph 18 L+~reaf the Property is aegtnred by Lender; all right; title and interest of Borrower in
<br />and to any insu,°azset: F,aiaies and in and to the proeaads tlterzoi t_to the extent of the sums secured by this zvioit-
<br />gsge immediatelp pr,.,,• to such sale ar acquisition} rutting from damage to the Property prior to the. sate or
<br />acquisition shall pass to Lander.
<br />$. sresezvatiaa sad M~'aaaac$ of Fraperiy; Leasshaids, Caadominiums. Borrower shall keep the Prop-
<br />erty in good repair and shalt not permit or commit waste, impairznent, or deterioration of the Property and shall
<br />comply with the provisions of any lease, if this Mortgage is on a leasehold. If this ~fartgage is on a condominium
<br />unit, Borrover shall perform all of Bormwer's obligations under Cite declaration of eondamimium ar rnaster deed,
<br />tThe by-laws and rna+?lations of the candamininm ;?*ojact z.nd canstittient. documents.
<br />T. ~ofsctioa of Lessder's Security. If Borrower fails #o perform the covenants and agreements contained in
<br />this Mortgage, ar if any action ar proceeding is commenced which materially affects Lender`s interest in the Prop-
<br />erty; including, but not limited to, eminent domain. insoh•encv: code enforcement, or arrangements or proceed-
<br />iizgs involving a bankrupt ar decedent, khan bender at Lender's option, upon notice to Borrower, may make such
<br />appearances, distturse such sums and take such action as is nacesssrp• to protect Lender's interest, including, but
<br />net tirnited ta, dislrursamemt of :reasonable attarnFy`s fees and entry upon the Property to make rnpsirs. Any
<br />aruounis disburaefi by Lander pursmant to this paragraph 7, with interest thereon, shah becaztt~ additional indebtr
<br />edne~ of ~arrawar secured by this }4o*te. ?in<tass Borrower and Lender agr~a to ether terms of pay went, such
<br />amounts shall he payable .upon notice fznna Lender tc3 Harrower requesting payment thereof, and shalt bear inter-
<br />ast from the date of disburseurent at khe rate stated in the \rote unless payment of interest at such rate wvould be
<br />contrary its spplieabla law, in which event such amounts shall bear interest at the highest rate permissible by
<br />applieaitie law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or do any-set
<br />Ii~eunder.
<br />8.3aapactiaa, I:cnder may :Hake or cause to im made reasonable entries upon snit inspeetiarts of the Prag-
<br />erty, pravidad-that Lender shall give-Borrower notice prior to anp siicli inspection speeifving raaatinable cause
<br />therefor relstezi-t~s bender's iu~rest in t_he Property.
<br />~. The proeeads of,sny award or clairri for daznages, direct or con.~uential, in connection
<br />wi~~ srry ~eatioii:ci rr fairing c1f ~ha P_operty; ar part thereof: or far conveysuce in-lied of [xiizdeirriia-
<br />~In the ant of s trztal-taking of the Property, the prt}Ct~ecl$ sha!}.1}e appli~i to the sums secured by this ~2urt-
<br />,w:th t`:~ f_airy; paid to Barrat*r,. Try t;se ovErt of s.l~,rtia' tol¢ing of-the Property, ;ule~ Isexrrower
<br />and bander-othenc•isescrce in vt•riting; there shall he applu:[l to tiEe Bums seeurad''-by tfiie ;afrsrtgage sizeh propoF-
<br />Lion of the proi~eeds as is eyusl M'that pmpartwn whirh the: seni€tmnt of -the-sums-secured try this It~ertgage imme-
<br />liatety prior to zlte date o1 ta):ing bears to the fair tnsrket value of the gtctpertr i~t*_tedia#~y prior to'~f};a dark of
<br />Gakint;, with the balance ai the proceac;s pair) to Fsoi Taxer.
<br />If tL6 Frapetty ;s abancivned by 3prrawer or if after notice by Lender to Boi:awer that _the condemnor offers
<br />to make an an'ard pr settle a claim for clantaga~, Borrower fails to respond to Lender within 30 days of the-date _
<br />of sactz notice, Lender is authorized to collect and aplrly t.tte proceeds at Lender's-option either to restoration or
<br />repair of the Property- or to ih~ nuns-secured. hy~ tki§ ~Iongago:
<br />F3nlass i~er;der aztd Ba3aower vL1ie€zvse agic~a in. writing, atiy. sash application of pracseds to principal shall
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